Baltic Journal of Economic Studies

WAYS TO OVERCOME THE CRISIS CONDITION OF THE UKRAINIAN INSURANCE MARKET: THE ECONOMIC AND LEGAL ASPECT

Olga Poberezhets, Tetiana Stepanova, Roman Shchur

Abstract

Trends of the integration of the insurance market on European and world scale make it necessary to examine the insurance sector of the economy. As a result of the financial and economic crisis, all financial and economic instruments of states covered negative phenomena. The current stage of development of the national and world economy is described by the uneven overcoming of the crisis in different sectors of the economy that negatively affects integration processes. As in Ukraine the insurance sphere has not received due attention and support from the state, the formation of an appropriate basis for overcoming the crisis phenomena in the insurance sector of the economy, the application of which is a condition for further development and use of potential opportunities for improving economic systems, determines the timeliness of consideration of this issue. In the course of overcoming the crisis phenomena in the insurance sphere, a critical combination of deterrents arises, the systematization and research of which helps in developing actions to overcome the crisis in the insurance sector of the economy, which determines a necessity of complex examination of this problem with the goal of an early exit from the crisis and further integration of insurance markets. The purpose of the article is to consider internal and external factors that delay the way out of the crisis of the insurance market, and on the basis of generalizing the deterrents of development – providing recommendations of the systematization of actions to overcome the crisis of the insurance sector, taking into account features of the national and global insurance market. Methodology. Analytical market reviews, materials of periodicals, resources of the Internet are the informational and methodological basis of the investigation. To achieve the goal set, the following general scientific and special methods were used: economic and mathematical methods, structural-logical analysis, analogy, synthesis, comparison and integration, factor analysis. Results. The system of actions of economic and legal nature that should be taken into account for successfully overcoming the crisis of the insurance sphere is substantiated. Problem aspects of external and internal nature and directions of their elimination are determined. The proposed model for overcoming the crisis of the insurance sphere takes on special significance in the context of the supranational task of developing actions to minimize and eliminate the consequences of the global economic crisis. Directions for reforming the regulatory and legislative basis are considered. Practical implications. The system of economic and legal actions and their separate types can be applied for the successful overcoming of the crisis in the insurance sector, taking into account the specifics of economic development and the condition of the insurance sector of the economy in other countries. Value/originality. Most of the scientific studies are devoted to the theoretical aspects of the economic crisis, namely, the more precise definition of the essence of this process as a form of modern financial and economic dynamics. A part of the studies is devoted to the consideration of common features and national features of the economic crisis in individual countries and regions. The authors considered the issues of developing actions to overcome the crisis in the insurance sphere in a system combining the abovementioned aspects with the specifics of development and overcoming the crisis moments of the insurance sector of the economy. It is also important to take into account the influence of planned legislative reforms on the development of the insurance market in Ukraine. Accounting for all components of the insurance market, existing features within the confines of the national economy has allowed us to work out directions for further development of the insurance market.